Metaplanet: Why the Company Bets on Bitcoin?

Metaplanet: Why the Company Bets on Bitcoin?

user avatar

by Giorgi Kostiuk

2 years ago

Metaplanet, a notable player in Japan's investment market, is gaining attention with its significant Bitcoin investment. Amid Japan's economic challenges, the company sees Bitcoin as a hedge against instability.

Buying Bitcoin: Strategy and Approach

Since April 2024, Metaplanet has been aggressively increasing its Bitcoin holdings, making the cryptocurrency its primary treasury reserve. It started with acquiring 117.7 BTC for $7.19 million. Later, the company decided to borrow $6.8 million from MMXX Ventures for further purchases. In October, it bought another 156 BTC for $10 million, accounting for about 19% of the company's total market value.

New ¥1.75 Billion Bonds

Metaplanet announced issuing ¥1.75 billion ($11.8 million) in bonds with a low interest rate of 0.36% to further invest in Bitcoin. Every bond was picked up by EVO FUND, indicating investor support for this risky strategy. The bonds are not directly collateralized, but there's a first priority mortgage on the Royal Oak Gotanda Hotel, owned by the subsidiary Wen Tokyo Inc.

Future of the Company: What's Next?

Metaplanet continues its Bitcoin investment strategy. The question remains: will this help the company withstand Japan's economic challenges, or will market volatility create additional challenges? The company has to prove the viability of its strategy.

Currently, Metaplanet is betting big on Bitcoin. Regardless of the outcome, this story is one to watch.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

Greece Enhances Crypto Tax Transparency Measures

Greece will implement new reporting and documentation requirements for cryptocurrency purchases starting in 2027 to ensure funds come from declared income or lawful sources.

user avatarTomas Novak

Greece Introduces 10% Tax on Crypto Investment Profits

Greece introduces a 10% tax on individual crypto investment gains starting January 1, 2027.

user avatarEmily Carter

Gnosis Pay Implements Enhanced Security Measures Following Breach

Gnosis Pay has implemented enhanced security measures, including 3D Secure for online payments and increased fraud monitoring, following a data breach.

user avatarMaya Lundqvist

Gnosis Pay Reports Data Breach Affecting Customer Information

Gnosis Pay reported a data breach where hackers accessed customer information through its card system, prompting immediate containment measures.

user avatarKaterina Papadopoulou

Ueno Digital Bank Collapse Revives Bitcoin Self-Custody Debate

The collapse of Ueno Digital Bank in Paraguay has sparked renewed discussions about financial independence and self-custody of Bitcoin, highlighting both the benefits and risks associated with managing one's own assets.

user avatarLeo van der Veen

Upcoming Upgrades Could Transform Ethereum Network

Ethereum developers are preparing significant upgrades that could enhance the network's capabilities and security.

user avatarLi Weicheng

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.